According to the QTR Global Report, three sources have confirmed that all Palm smartphones — the Palm Pre, Palm Pre Plus, Palm Pixi, and Pixi Plus have been halted for production. According to one of the sources, “The decision is very sudden, and Foxconn was told to reduce all February Pre forecast to zero on Wednesday and nobody knows whether shipment will resume in March.” Could it be that Palm is being sold? Is Palm completely scrapping the whole product line for a new one even though the Plus Series just came out? On a personal note, days ago I was in contact with Palm PR over a review unit for the Pre Plus and received a swift response. After a question was asked, within 2 days my emails were unanswered. The breaking news report is after the jump! [BGR]

UPDATE: At Engadget they’re reporting that Palm has called off production temporarily as an observance of the Chinese New year.

UPDATE #2: And here’s an official statement from Derick Mains, Palm’s director of corporate communications.

Palm regularly adjusts its product manufacturing levels to manage inventory. In anticipation of the Verizon Wireless launch and Chinese New Year, we increased production levels prior to February, and anticipate ramping production back up after the Chinese New Year ends.

Moving on….

Palm Inc. Alert

Palm Orders Production Halt of Pre and Pre+ in February

February 11, 2010

PALM, S, VZ, 2038 HK, 8078 TT

Sources: 3 sources Taiwan handset component supply chain (all repeats)

Key sources in the Taiwan handset supply chain said Palm Inc. has ordered assembler Foxconn International Holdings Co. Ltd. to suspend production of both the Pre and Pre+ in February. "The decision is very sudden, and Foxconn was told to reduce all February Pre forecast to zero on Wednesday and nobody knows whether shipment will resume in March," said a key source. The source said the CDMA2000 Pre to Sprint and the CDMA2000 Pre+ to Verizon were affected.

Pixi Production Suspended Too?

One source said Palm also told Compal Communications Inc. to suspend shipment of the Pixi and Pixi+ in February, while another source said that production is still going ahead with the Pixi+ to Verizon, but actual delivery in February will amount to less than 5,000 units.

Reporter: Van Tran

Editor: Hartmut Leuschner

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